What a fluff piece. They mention that the 360 has outsold the PS3 worldwide so far, but failed to mention MS has been outsold for the last 3+ months. They also only interviewed Bach and didn't get any counterpoints from competitors. Oh well, what can you do. This could've been an interesting article if it didn't just straddle the MS PR line.

What is 'wallet share'?

Seems like a very onesided piece. Doesn't mention that PS3 is gaining a lot of momentum and outselling the 360 now.

It's also amazes me how they can boost about profits when they've lost something like 7 billion on the xbox brand so far. They'll never recoop that. At least not this generation.

Microsoft's sorry-excuse for a title since they're getting crushed in market share.

this kind of mentality i can't understand. Why would you give a rats @ss if they do well or not, and on top of that to even consider being melancholic over microsoft's gaming financial sucess? Is this earth? *_*! I swear..... no its confirmed we have a few kids amongst us.

In 2008 we will soon have:
Grand Theft Auto 4, Gears of War 2, Fable 2, Ninja Gaiden 2, Battfield Bad Company, Alan wake, Far Cry 2, Too Human. Just some of the games to be released this year on XBox 360 will be blockbuster.

Save your money people and wait for these great games on the way.
2009 will see: Mass Effect 2, Bioshock 2, Resident Evil 5, Fall Out 3, Forza 3, Perfect Dark 2, Crysis. Who cares how many consoles PS3 or XBox 360 ends up selling. All we care about is games.

Yeah Krusnik, apparently people don't understand that we are consumers, not corporate shills, and that competition amongst corporations = better games, more innovation, and lower prices for us.

In the PS2 heyday, the most ridiculous thing that was frequently accepted as common knowledge among Sony fanboys was that online gaming was a non-factor. Without Microsoft pushing the online element (and they really pushed it. Releasing a console in 2001 with broadband only support was risky and forward thinking), would we have PS3 and Wii starting to offer online gaming? I seriously doubt it.

Would MS have offered the 3 year warranty extension for 360's after the RROD debacles without Sony breathing down their neck? Doubt it.

Its in all our best interests for Sony and MS to stay stalemated this generation... I only have a 360 at the moment, but once some of the PS3 RPG exclusives come out I will definitely pick one up, and I'm sure I'll love both my consoles equally... just like the venerable xbox and ps2 sitting under my tv.

Of course, no fanboy, MS or Sony, ever takes to heart a post like this. They cock their heads to the right, make a puzzled expression, then type "ps3 rulz lawls, go sux on rr0d lewl lewl lewl, METAL GEAR SOLID WOO"

And with such a heavy emphasis the article is putting on XBL, and it's success- they fail to mention that a negative point to consider when buying an XBOX360 is the subscription fee for XBL, the individual price of proprietary hard drives, and the ridiculous $100 wireless add on required to get online, and use all of the features. The lack of Blu-ray and the fact that the GTAIV DLC was bought for $50 million,(more underhanded tactics hurting the industy) plus the always looming possibility of having an RROD, or a disc error, plus the loudness/poor design of the console- are also contributing factors when looking at the 360 side by side with the PS3. This article should not be so biased, and spell out all of the facts.
PS3 is now outselling 360 for 14 straight months, and without its big hitting exclusive games.
Ofcourse software will sell better for the 360. When looking at the userbase/comparable attach ratio for third party games, the PS3 is actually doing better for the user base that it has.

The 360 is turning a profit, but because this is the fact that Microsoft seems to be focusing on, pretty much secures the fact that they are not willing to easily take financial hits on the console in the future. This is a guaranteed win for the PS3, in all aspects since unless Microsoft cuts the price/ adds more features/ first party developers/hardware reliability/free online.... They simply can NOT compete.

Does anyone know exactly how much money they have lost, or ballpark?

"Microsoft announced Feb. 11 that it was buying consumer smart phone software developer Danger. Microsoft might be planning to use Danger's capabilities to respond to Apple's popular iPhone, Rosoff says."

LOL the problem for Microsoft is that they are the anti-Apple. They couldn't be cool, hip and stylish if their life depended on it. Selling software for PDAs and a share of smartphones perhaps. Competition to the iPhone (iZune perhaps?) no chance in hell. I would love to see this.